Friday, June 3, 2011

Mistakes made, leasons learned?

When the new jobs number were released this morning(a very anemic 54,000) I instantly harkened back to a column by @Paul Krugman. The article spells out the danger of a too soft and too short of a stimulus. He argued you'll get one chance at a stimulative fix to the economy and that if you come up short danger lies ahead.

I believe the analogy was taking a running start at climbing a steep hill. If do so you better make sure you make it to the top of the hill. If you don't you'll end up slide back down the hill worn out and not prepared to make another stronger run at it.

I had intended to search for the article, quote and link it. Well Mr. Krugman beat me to it this morning with his column "The Mistake of 2010".

Update:

Here is the original post


Here is the exclamation to the analogy
I’d add that there may also be a political tipping point: if the stimulus package is too weak, conservatives will pile on after it fails to deliver, claiming that the whole concept has been discredited.

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